Cooperation led to World Kitchen renewing lease

The 10-year lease means that the World Kitchen warehouse and distribution facility, which employs more than 350 people, will remain in Greencastle for at least another decade.

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By Colleen Seidel/The Record Herald

Waynesboro Record Herald - Waynesboro, PA

By Colleen Seidel/The Record Herald

Posted Dec. 1, 2012 at 1:00 PM
Updated Dec 4, 2012 at 11:23 AM

By Colleen Seidel/The Record Herald

Posted Dec. 1, 2012 at 1:00 PM
Updated Dec 4, 2012 at 11:23 AM

GREENCASTLE — Community leaders in Greencastle and beyond are welcoming the news that World Kitchen Inc. has renewed the lease for its facility on U.S. 11.

The 10-year lease means that the World Kitchen warehouse and distribution facility, which employs more than 350 people, will remain in Greencastle for at least another decade.

"I'm really pleased that (World Kitchen renewed)," said James R. Murray, vice president of industrial portfolio for Matrix Development., which owns the facility. "It will extend a very good relationship. It's the best of both worlds."

A representative for World Kitchen said that the company "is still finalizing details on the agreement for the Greencastle facility" and could not answer questions regarding the details of the lease.

Mike Ross, president of the Franklin County Area Development Corp., said that retaining World Kitchen at its current location in Greencastle has been a "key priority" for area leaders since the FCADC and others learned in late June that the company was looking at other areas where they could move the facility.

"This has been at the top of our agenda," he said. He added that the lease renewal "represents a community effort to keep World Kitchen at its current location."

Joel Fridgen, executive director of the Greencastle-Antrim Chamber of Commerce, said that World Kitchen staying in Greencastle "is a major step in expanding development" for the area.

Impact of LERTA

In August, the Antrim Township supervisors and the Greencastle-Antrim School Board adopted a Local Economic Revitalization Tax Assistance (LERTA) program for the area.

The program offers a schedule of tax abatements on the cost of improvements to current buildings or the cost of construction for new buildings within designated zones. Both boards designated the World Kitchen site as a LERTA zone.

The adoption of the LERTA program was "critical in Matrix's ability to offer a competitive lease rate," according to Ross.

Matrix Development has pledged more than $10 million in improvements and renovations to the aging World Kitchen facility, including a new heating and ventilation system, expanded loading docks and new personnel offices.

Murray said that plans for the renovations are under way, and he hopes the project will be shovel-ready in the spring.

Government cooperation

Murray said that the adoption of the LERTA program demonstrated a "proactive and cooperative ... alignment from all the different aspects of local government" to try and keep World Kitchen in Greencastle.

"That's attractive to me as a landlord and even more attractive to the tenant," he said.

Fred Young III, chairman of Antrim Township supervisors, said that he is "very pleased with the way the township and the school board worked together."

"We didn't want to lose any jobs. We didn't want an empty building," he said.

Page 2 of 2 - Ross, Murray and Young all commented on how quickly the LERTA programs were adopted in light of the news that World Kitchen might relocate.

"They moved really fast," Murray said, referring to the township and school district boards. "They understood what we were trying to accomplish."